While home loans in Rockingham are becoming larger as the housing market regains health, we see a possible trend for the future that may make home mortgages a lot smaller, even to the point of being more like personal loans: tiny houses. There is even a club of tiny house enthusiasts called Tiny Houses Australia.

Members of Tiny Houses Australia cite many reasons for their move to a tiny house. First and foremost is affordability. In most parts of Australia, the most desirable places to live are unaffordable for many. Even rentals can be expensive.

Many give up altogether on the idea of buying a home because they can’t afford to buy where they want to live. Many are environmentalists who are dedicated to finding what they see as a sustainable way of living.

In the 1950’s, the average house size in Australia was barely over 100 sqm. In 2008, it was 214 sqm. House size not only has a huge effect on price, but also on environmental impact, which is measured by greenhouse gas emissions or carbon footprint. The larger a house, the larger its carbon footprint. The more isolated a house, the larger its carbon footprint.

What is being called by many the “Tiny House Movement” began in the late 1990’s in the US. The Global Financial Crisis helped it spread to New Zealand and to Australia. Usually, a tiny house means anything under 40 sqm. It can be a granny flat, a complete house built on a trailer or even a repurposed shipping container. Some cost as little as $10,000 to build.

What We Think

We like the idea of tiny houses, but we also think they can be done more like a real house. Depending on the R-codes, we think it is possible to build conventional houses smaller and smarter. We would enjoy the opportunity to broker smaller loans and see even more people own their homes.

Call (08) 9527 1800 to learn more.